Global Market: EU opens talks on digital euro rules, eyes 2029 launch

The European Parliament, EU governments, and the European Commission have opened talks to finalize digital euro legislation by end-2026, with the European Central Bank formally approving it on January 1, 2027, followed by a pilot next year and full public rollout likely in 2029. The digital euro will be an electronic form of central bank money issued directly by the ECB, free for consumers, with holding caps of around 3000 euros and no interest earned. The ECB aims to reduce reliance on foreign payment providers such as Visa, Mastercard and PayPal, and to counter stablecoin risks linked to the US dollar.